Top Gun

Fed, Treasury Propose the Dissolution of Capitalism

I agree that we are putting ourselves at risk for a Chavez like situation where a leftist dictator gains control. Then our constitution is at risk, innovation is at risk, our very well being becomes a concern.

Fortunately, as long as current technologies are used, our quality of life can remain high. It would be a shame to move backwards from the agricultural, transportation, energy, housing and medical gains we have made in the last 50 years.

Five Predictions for This Market

Bought GE yesterday. I suspect it is worth more now in pieces, which means they will emerge. Immelt took much of the blame, that in and of itself told me I had to own some. I'll just let it sit for a while.

Nice post.

American Negativity is Upside Down

Well said. The admin has done a good job of base building, moreso I think than dousing with lighter fluid.

The opposition continues to ignore the needs of our people. We are blessed to have Obama and team at the helm, not for their perfection, but for their desire to represent the people of our great land.

They will regain the trust of the world and americans. It will take months or years, not days. I can only hope those wishing them to fail get with the program.

The Great Awakening: Boomers, Your Crisis Has Arrived (Part 3 of 3)

Many read this article. Good.

Let's put ideology aside - where could we move? How can we educate out kids so they become part of the future solution, not problem.

I too am ready to pull my family of four out of here if things degrade much more. Born in '57, I have had quite a few years to digest both the good (90's), the bad (00's) and the ugly(80's). This country runs around chasing it's tail so much it's ridiculous. And credit/money is at the root of all of it - hmmm - "money is the root of many evils". The Bible is a geat source of wisdom, maybe people should actually read it.

Stocks Are Doomed, Only Cash or Precious Metals May Survive

Lack of understanding by these writers - WE THE PEOPLE control the printing of money. Banking is NOT private enterprise, it distribution of money that WE create. When people that manage the distribution of our money destroy its value, peoples' lives, etc. WE jump back in. This time, unlike the depression, we propped them up. That's not being anti business(it's being dumb?).

The stock market will underperform because all our capital is being sucked into the bond market for the next 5 years. These people are not anti-business.

Geithner's Superfund Is the Real Deal

Seems to me we are headed for a bit of resolution, someone needs to value and take these high risk assets. Even putting $500B into strong hands will reduce the overall risk in the sellers portfolio by quite a bit.

I think we are in a bond market for the next ten years, forget stocks. This is new in my adult lifetime. We created so much credit (we, ha!) that all available capital must be deployed against this mess. It's now clear to me that you can add to your list that bankers tried to get the public to absorb all of their mistakes - mistakes they had already made commissions on. Can anyone say $4B in bonuses Merrill Lynch for selling debt we are now asked to take - fungible money, remember?

Way Too Much Washington for Wall Street Today

Bankers caused the mess with too much credit. If we the people are lender of last resort, then you better be ready to report to your new boss.

My preference, let all those who made bad best go bust, then pick up the pieces. Paulson and Bernanke didn't allow that to happen, instead they spent my money as if it were theirs to spend. Geithner feels an obligation to his countrymen - what a thought!! I'll take integrity every time, it will eventually get to the right answer.

Trust - Not Confidence - Is the Issue for Geithner

I agree with all above. We need a Treasury Sec who has public service as his sole purpose. Someone like Volker. Too bad only high profile people get consideration.

Predictions for the Coming 'Flation'

Fed added $250B to shore up capital. It is 3 year loan. Banks will need to raise the same to pay it back. Not inflationary, but only prevent asset deflation, not general price deflation.

Direct stimulus campaigns are inflationary.

Should have let the banks and asset prices crash, then the regular guy could afford them. Too bad.

Madoff's Fraud Is Nothing Compared to the U.S. Treasury's

Unfortunately, I had the same exact thoughts yesterday.

A Long and Painful Consumer Slowdown - Barron's Interview

Guess you didn't get the memo - the real estate mega growth was caused by credit inflation and was not real growth. She was right, the powers that be manipulated us into growth. This time she realizes the Fed is doing the same thing now. What she is saying is what should happen, but as she says will be socialized away as best as our money printers can.

There is no such thing as investment any more. It's all just gambling. Some day we will invent and make new things, but that looks like a generation away.


On Dec 14 04:13 PM taojaxx wrote:

> I guess that person's track record is a good hint at the value of
> her current opinion: she's presented as bearish real estate in 2002,
> that is right ahead of one of the most bullish periods (2002/2006)
> in the history of the asset class.
> I too can predict 5 of the next 2 crisis.
> Just wonder how much she charges for the "macroeconomic research
> and commentary (she provides) to the institutional investment community".
>
> I don't mean to disparage anybody here and her guesses are probably
> as good as anybody's. What I appreciate in comments is the capacity
> to abstract from the immediacy to focus on the big picture.
> You can't do that by projecting the last five months into the coming
> five years. Mr. Market is smarter than that.
> Just my $0.02.

Economic Indicators Signal a Major Collapse Ahead

Add to that, reduced tax revenues in municipalities will force tax increases, further reducing disposable income and consumer spending.

We are bankrupt, and need to behave accordingly by resetting all asset values and curbing leverage. Otherwise, inflation is the only way out.

Don’t Blame Wall Street - At Least Not Completely

As you said, destroy American life as we know it, and as you stated so clearly - THAT NEEDS TO BE DONE